Using a national sample of approximately 1.3 million appraisal reports between 2012 and 2015, a new report from CoreLogic shows which home features are being adjusted the most frequently, as well as which are being adjusted for the most money creating a bigger impact with respect to values.
CoreLogic analysis reveals that some type of adjustment was made on 99.8 percent of appraisal reports reviewed.
The differences in the category of “living area” were the most adjusted feature at 96.4 percent. Other features that were adjusted on 50 percent or more of appraisal reports were “room,” “car storage, “porch,” “deck,” “overall condition” and “site” area.
The frequency of an adjustment indirectly is correlated to the financial impact, as four of the top five most adjusted features resulted in relatively low average dollar adjustments.
“Room” adjustments were very common at 70.4 percent but had minimal value influence, recording an appraisal adjustment of only $2,246 on average, while a quality rating adjustment had the highest value influence, with an average adjustment of $14,748, but accounted for only 18.7 percent of all adjustments.
Among the other highest value adjustments were overall condition, location adjustment, living area and view. Among the adjustments with the lowest value influences were age, porch and deck, heating/cooling, and financing concessions.